Three errors cause the most damage, and they are about order, addresses and follow-through.
The first is applying for an EIN too early. The IRS says to form the entity with the state before applying for an EIN (IRS, "Get an Employer Identification Number"). However, the IRS will still issue a number to a business the state has not approved. If the filing is then rejected, or the name changes, the EIN is attached to something that never came into existence.
The second is naming yourself as the registered agent without thinking it through. This is permitted in every state where you meet the address requirement, and it saves a recurring fee. It also puts a physical address into a public, permanently searchable record.
The third is forgetting what comes after formation, such as your state's annual report. Its fee and deadline are set by your state.
Some things people worry about are not risks at all. An EIN is free directly from the IRS, and the IRS says you should never pay a third party for one. Under FinCEN's rule effective August 14, 2026, entities created in the United States are exempt from federal beneficial ownership information (BOI) reporting (FinCEN, "Beneficial Ownership Information").
Correction fees, forms and deadlines vary by state. The only reliable figure is the one on your Secretary of State's published fee schedule.
Fees, deadlines and requirements at a glance
| Item | What applies | Source |
|---|---|---|
| EIN application fee | $0 (free) | IRS, "Get an Employer Identification Number" |
| Paying a third party for an EIN | Not required; the IRS says never pay one | IRS, "Get an Employer Identification Number" |
| Order of steps | Form the entity with the state first, then apply for the EIN | IRS, "Get an Employer Identification Number" |
| Federal BOI report | US-formed entities are exempt under the rule effective August 14, 2026 | FinCEN, "Beneficial Ownership Information" |
| State formation fee | Varies by state | Your Secretary of State's published fee schedule |
| Correction or amendment fee | Varies by state | Your Secretary of State's published fee schedule |
| Annual report fee and deadline | Varies by state | Your Secretary of State's filing requirements |
When the state catches the mistake
A rejected filing is the least harmful outcome, even though it feels like the worst one. The state has not created your LLC, so nothing is on the record yet. You fix the problem and resubmit. Whether you pay the filing fee again, and how long review takes, depends on your state.
The real cost of a rejection is what you did in the meantime. If you opened accounts, signed a lease or applied for an EIN under the name you filed, all of it now points to an entity that does not exist yet and might end up with a different name.
When a mistake makes it into the record
If the state approves a filing that contains an error, such as a misspelled name, a wrong address or an incorrect member or manager detail, you correct it through the same office that accepted it. The document you file, what it is called and what it costs all vary by state. Your Secretary of State (or equivalent business filing office) publishes the process and fee. Rely on that published schedule rather than a general guide, because this is the step where outside sources are most often out of date.
The same office handles your ongoing obligations, including the annual report where your state requires one. The site's experience is that lost entities rarely come from dramatic errors. They come from a report nobody remembered to file. Your state sets both the deadline and what happens if you miss it.
Getting the EIN in the wrong order
This is the mistake that surprises people most, because the IRS does not stop you. The IRS instructs you to form the entity with the state first, but its system will still issue a number before the state has approved anything. If the state rejects the filing or you change the name, you are left holding an EIN tied to a business that never existed.
If information on your EIN is wrong, the IRS has its own process for updating it, separate from anything you file with the state. This page does not have a verified form number or fee for that process, so check the IRS's instructions directly rather than relying on a figure from a third-party site. The one figure that is certain is the cost of the EIN itself: $0 from the IRS. Any service charging you for the number is charging for something the IRS gives away.
The registered agent address problem
Serving as your own registered agent is legal in every state where you meet the address requirement, and it avoids a yearly fee. The tradeoff is permanent. Whatever physical address you list becomes part of a public, searchable business record. For many home-based founders, that address is their house. Changing the agent later updates the filing going forward, but the earlier record does not disappear.
The out-of-state formation mistake
Delaware, Wyoming and Nevada get recommended to people who have no reason to be there. If you actually run the business from your home state, you will generally have to register there as well. That means two sets of fees, two registered agents and two annual reports, with no benefit to show for the second set. For most small businesses operating in one state, forming in that state is the simpler choice.
Doing it yourself versus using a service
Most of the mistakes above do not require a service to avoid. You can file in the right state, wait for approval before applying for the EIN, apply for the EIN free from the IRS, and put the annual report deadline on your calendar. None of that costs anything beyond the state fee.
A service changes one thing you cannot fix on your own for free, which is the registered agent address. If keeping your home address off the public record matters to you, a commercial registered agent is the direct answer. ZenBusiness charges $199 per year for this, reduced to $99 for the first year when you form with them. Note that the agent is a separate charge on every tier, including Premium. Their Starter tier is $0 plus the state fee, so the formation filing itself costs you the same state fee either way. Pro ($199 per year) and Premium ($299 per year) add other services, but neither includes the registered agent.
This site earns a commission on some links, including that one. That does not change the recommendation: if privacy is not a concern and you meet the address requirement, serving as your own agent is a legitimate choice. Other formation services also offer registered agent service, and their prices change, so compare current terms as of 2026 before you choose.
Frequently asked questions
How do I correct mistakes on my LLC filing with the state?
If the state rejected the filing, correct the error and resubmit. If it was approved with an error, file a correction or amendment with your Secretary of State. The form, fee and timeline vary by state, so use your state's published fee schedule.
How do I register my business with the state, file articles of organization and keep up with the annual report?
You file your articles of organization (the name varies in some states) with your state's business filing office, which also sets any annual report requirement, fee and deadline. Register in the state where you actually operate unless you have a specific reason not to.
What if my EIN application for my LLC had incorrect information?
Contact the IRS through its own update process. Correcting your state filing does not update your EIN record. The EIN itself is free from the IRS, and the IRS says never to pay a third party for one.
Does my LLC need to file a BOI report?
Not if it was formed in the United States. Under FinCEN's rule effective August 14, 2026, US-formed entities are exempt from federal BOI reporting. New York's LLC Transparency Act likewise applies only to LLCs formed under the law of a foreign country.
Sources
- Internal Revenue Service, “Get an employer identification number”
- Financial Crimes Enforcement Network, “Beneficial Ownership Information Reporting”
This is general information, not legal advice. Requirements vary by state and change over time.